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Dynamic Integration of Process and Product Innovation Research is much greater in other countries. In contrast to a sequen- tial line of developments from research to development to production to sales, the processes overlap and new products are brought to market in much shorter periods of time. Re- In: Executive Summaries; 43rd annual meeting; 1988 June; search engineers often accompany their innovations on pro- Reno, NV. Madison, WI: Forest Products Research Society; duction teams. [1988]: 31-33. Market analysis Identification of a clear market need is the most important factor in the definition of research requirements for new or improved products. Several factors are obviously related to new product development that cannot be resolved until such things as the price and manufacturing and cost and sales- volume relationships become tangible. In addition, during development, market conditions could change or other prod- ucts could be developed to meet the market need. Thus, future market conditions must be anticipated and a periodic reevaluation of market needs is desirable. An important pro- cess is to match the scientific or technological knowledge directly with consumer or industry needs. If this match is achieved, there may be other secondary applications where the unique capabilities or the significant economic advantages of the new technology can best be exploited. Later, when Dynamic Integration of Process and Product the capabilities of the new technology have been demon- Innovation Research strated, the technology can be applied to other markets where technological benefits are marginal, but the total market is by Thomas C. Marcin potentially larger. FPL Spaceboard is a new concept in the manufacture Service, Economist, USDA Forest Forest Products of structural materials from wood fiber. It is a pulp-molded Laboratory, Madison, Wisconsin fiber or composite structural sandwich usually made of two identical components bonded together at the neutral axis of Process research is often neglected when new products the sandwich. It may or may not contain natural or synthetic are developed but manufacturing process technology is often polymers and varies by sandwich thickness, weight, compo- the key factor in determining the viability of a new product sition, cell size, cell pattern, core flange, shape, and thick- for commercial use. For example, in the United States two- ness. For superior performance, the core walls or flanges thirds of research and development budgets are committed flare out at the point of blending with the facing (3). FPL Space- to inventing and only one-third to finding the best way to board is expected to result in a new family of molded-fiber make a new product. In Japan, the reverse is true, according products that capitalize upon the press-drying concept to to the MIT Commission on Industrial Productivity (1). If the produce products with a high strength-to-weight ratio. These United States is to improve its competitiveness, it must con- products could be produced in various thicknesses, from centrate more evenly on both the invention of the new prod- thin material 1/8 inch thick to structural panels several inches uct and the development of the manufacturing process for thick. A large variety of applications are possible because efficient and reliable production of quality products. of the many possible configurations of the product. Technological innovation and new product development Spaceboard I products are a thin fiber-based medium are vital to maintaining industrial competitiveness and increas- similar to conventional corrugated fiberboard but radically ing manufacturing process efficiency. Process efficiency in different in structure and performance. These products are many nonwood industries is increased by improvements in likely to compete for uses where high strength stiffness fac- process systems and by the amenability of metals and plas- tors are important. Recent research has shown that Space- tics to high-speed, automated machines. One wood product board I products have from 30 to 215 percent greater edge- amenable to high-speed processing is wood pulp. A new pro- wise compression strength than commercial C-flute container- cess called press drying enhances the bonding potential of board. Expectations for Spaceboard I used as a container- wood fibers under pressure and heat to produce a stronger board in boxes indicates significant improvement over con- paper. A natural extension of this process would be to inno- ventional corrugated technology. vate a new product from wood pulp using heat and pressure Spaceboard II products are thicker than Spaceboard I to produce structural products. products and have enhanced structural characteristics. Space- According to Thurow (4), a lack of concern for process board II products take advantage of the exceptionally high technology is the heart of problems with productivity, com- potential strength-to-weight ratio of wood-pulp composites. petitiveness, and national efficiency in the United States com- Recently, scientists at the Forest Products laboratory (FPL) pared to other countries. He argues that the organization of made a two-ply structural laminate from pulp fiber that had R&D and production is also different abroad. Collaboration a facing stress in compression to failure close to 6,000 pounds 31 per square inch. This is close to the highest value for wood rugated board. A study of process variables is required so parallel to the grain, yet fiber orientation of the material tested that a high-speed, continuous manufacturing process may was presumed to be random. This characteristic provides an be designed. Once this process has been designed, a finan- excellent opportunity for developing high-valued specialty cial analysis of cost can be made. A preliminary study of the products from wood pulp. economics of the conventional corrugated medium for pack- Spaceboard can be considered a new technology because aging could also be conducted to establish competitive stan- it is a product concept that is not directly related to existing dards for FPL Spaceboard I. FPL Spaceboard II is envisioned processes. The initial impetus was provided by the fiber box as a thick structural product which would likely be manufac- industry. The industry recognized a need for an improved tured using some type of pressing system. First, performance packaging material that contained fully supported liners to criteria standards need to be established for specific products increase compression strength for corrugated containers. FPL designed for particular end uses. A system for producing Spaceboard I is a new approach to the entire fiber box and full-sized panels will probably be required for market test- corrugated box packaging system Specific applications range ing of FPL Spaceboard II. The panels will then be tested for from an alternative packaging product to an alternative for various properties. Finally, a full-scale product test for proof- conventional corrugated fiberboard industrial. A second pro- of-concept must be conducted before attempting commer- duct concept that was identified relative to user needs was cialization. Only then can the commercial production be suf- FPL Spaceboard II, which was conceived as a potential struc- ficiently defined for a realistic evaluation of process cost. tural product with application in building or furniture man- The supply of a new product depends upon the ability ufacture. Specific market applications and customer needs of the technologist and engineer to design and develop a are under investigation by Echols and Sinclair (2). conversion process that can manufacture the product at an One approach for evaluating innovation is to match the acceptable cost. This involves factors of production such as attributes of the new technology systematically with potential labor, capital, land, energy, and raw materials. Technology end uses or needs. The possible applications do not automati- defines the alternative way in which these inputs can be com- cally follow, because the product is new, and considerable bined to produce the desired output. Of particular impor- creativity is needed to discover unique possible applications. tance is the design of machines that produce the final product Nevertheless, the evaluation of the ideas in relation to the quickly, efficiently, and reliably. Thus, in investigating sup- technology must be methodically and objectively carried out. ply, we should look at all the factors of production in rela- The ultimate test is in the marketplace; therefore, this is a tion to the technological process. The availability of relative logical place to begin an investigation. Attention should be raw materials is of particular concern for assessing resources given to evaluating the technical performance of a particular in the forestry sector of the economy. market segment, because most products can be offered in The cost and availability of the furnish for spaceboard a variety of forms differentiated by performance, cost of pro- are particularly important in determining the cost of the con- duction, and initial date of availability on the market. version process. Spaceboard is flexible because it uses a va- The best approach is to use the unique properties of riety of pulps, including recycled wastepaper. The use of hard- spaceboard to design specific products to complement ex- wood pulp is particularly beneficial because low-value hard- isting wood-based products rather than to displace existing woods are in surplus, and better utilization of this resource wood or
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